Question

I acquired a home equity loan for 40,000 04/04/2008 with terms of 6.75% for 10 years or 120 months. It is scheduled to be paid off 04/04/2018. I owe 17,000 on it as of now. Would it be wise of me to pay the entire balance now or to makes extra principal payments? I assume that most interest has been paid on the front end of the loan at this point. I hope that by paying the entire balance off, it will significantly impact my credit score in a good way. What is a good suggestion?

All Responses

I'm no financial expert, but if how much of your credit you're using goes into your score, then it seems to me that paying off the balance in full will reduce your %age of available credit used and your score will go up. Just a thought.

Your Credit Scores Should Be Free. And Now They Are.

Reply to this Question

Write your response:

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.